Albany water bill: money for nothing

It always seemed odd to Ken von Geldern that he was charged for city water service on the vacant lot he owns at the side of his small house in Albany’s South End.
After all, there are no taps, no toilets and no water meters on the property, where a colorful array of hardy zinnias and marigolds were still blooming and some yellow squash were awaiting harvest last week.

Still, he has paid the charges since buying both parcels about five years ago in a foreclosure sale, because water department officials explained that Albany always charges a per-foot rate when water lines run along vacant property frontage.
Lately, however, as the city’s water and sewer rates have risen while his own frugal usage has kept costs for his home consumption at the minimum (about $206 this year), it has started to feel downright unfair.
At nearly $354, the bill the Albany Water Board sent him this year for the 80-foot-wide vacant lot is a whole lot more than he’ll pay for actual water and sewer use at his house.
“This doesn’t make any sense to me,” said von Geldern, 59, when he asked for help sorting it out. “It’s just a fee for nothing.”
My first stop was the Albany Water Board’s Web site, where the city water rates are posted. There, it was clear how von Geldern’s bill was calculated.
Since he uses less than 1,300 cubic feet of water at home in each 4-month billing cycle, he is billed the $31.97 minimum three times a year for water and an equal amount for sewer service. If he pays that all at once in the fall with other property taxes, which he usually does, he also pays small late fees.
Meanwhile, the vacant property rate is $2.21 per frontage foot per year, and von Geldern’s side lot is about 80 feet wide. Double that to include the sewer charge, and the yearly total for the lot is $353.60, without late fees.
That brings his total this year for city water and sewer on both properties to $559.85.
Yet, if von Geldern’s side yard were part of the same real estate parcel as his house, rather than a separate parcel on city tax maps, he would only be charged for his residential usage: $206.25 (or $201.44 without late fees). His water-and-sewer bill would be less-than half of what it is.
How could this be, I asked Albany Water Commissioner Robert Cross.
Cross said Albany’s policy of levying charges when water pipes cross vacant lots dates back 150 years and is rooted in the idea that there is value in having that service in place, should the owner sell or develop the property.
“It’s very valuable to have that in front of a lot,” he said, adding that it’s up to the city to maintain and repair that water line, if there’s a problem.
Cross said von Geldern’s situation is fairly common, noting that there are some 3,200 vacant lots in Albany. One thing that Cross said does set this case apart is the unusual width of von Geldern’s side lot ­— especially when contrasted with his own modest water usage at his residence.
While Albany’s practice of charging for unused water on vacant lots may be a century and a half old, it isn’t a tradition that caught on in other upstate New York cities. There’s no such charge in either Troy or Schenectady, and a quick check by attorneys at the Public Utility Law Project, a non-profit consumer advocacy organization, found no indication of such charges in Yonkers, Binghamton, Syracuse, Buffalo or Rochester.
Albany’s policy of charging von Geldern for water and sewer service he does not and cannot use hardly seems fair. He has no interest in developing or selling the lot. He bought the property because his own house lot is unusually narrow (24 feet), and he enjoys having a side yard where he can plant his vegetable and flower gardens.
In one more drop of irony, if he did build a house on the side lot, the per-foot charge would go away and his water bill probably would go down considerably, given his restrained usage.
I see three options for von Geldern, only one of which seems viable.
He could challenge his bills with the city clerk and carry through with any appeals, but his chances of winning would be slim or none, since the rates are well established and the bills do match up with the dimensions of his empty lot.
Perhaps he could challenge the legality or constitutionality of Albany’s system in court, but that would be a lengthy process without clear odds favoring a good outcome, either.
His best option would cost him in the short term, but he could recoup his investment within a couple of years: He could legally combine the side lot with his house lot to make a single property parcel.
With that step, he could eliminate the water and sewer charges on the side lot entirely ­— and without increasing the charges for his house, which still would be determined only by metered usage.
Cross said other Albanians have opted for this process, which involves hiring a licensed land surveyor to prepare a “merge map” for the two properties at a cost of, perhaps, $700. The surveyor files the map with the city engineer, who sends it to Albany County and the city building and planning departments for approval.
The process can take one or two months, Cross said, but it would save von Geldern hundreds of dollars each year for as long as he owns the property.

15 Responses

He’s paying for the privilege of being able to connect to the public water and sewer system, which in turn makes his property more valuable. In rural areas, vacant land is often taxed based upon the amount of road frontage, since more road frontage allows you to subdivide the property and thus makes it more valuable.

Is it fair? No less so than paying any of the myriad other taxes of fees that we are all forced to. IMO, I’d rather have the land speculators who own most of the vacant land in the city pay for the water system — as they pay minimal taxes.

Also, why would Von Geldern not pay the bills quarterly? Hopefully he doesn’t deduct the water bill from his income tax because it appears on the county tax bill. Water & sewer fees are typically not deductible.

I too have paid for empty lots-3 of them, and my parents have done so on the same 2 lots for 50 years! I contacted the water board and explained it was impossible to build on these lots and were in reality part of the lot where the house sits- I wanted all lots combined- nope that wasn’t possible either. This law is archaic and should be changed.
I’d love to see just how much in 50 years my family has paid water and sewer without using on drop or flushing any drain!

Attn: Comment 4, “Joe From Cohoes who lives in Guilderland” – School taxes are derived from ancient times. Have you ever heard the expression “it takes a community to raise a child”? Best of luck finding a place to live where you DO NOT pay schiool taxes. Honestly, we all pay for too much, and get far too little. However – this point is irrelevant. Thanks for the input, however – hopefully it stirs up some lively debate.

Attn: Comment 5: Adocate Police – I think the point is we all pay for infrastructure … it’s a necessary evil. I pay school taxes and have never had a child. This person can spend $700 to ammend his property and do away with the fee. So do it.

I noticed this line in the story “If he pays that all at once in the fall with other property taxes, which he usually does, he also pays small late fees.” This is a completely legal loophole in the laws that many (I was told by my municipal tax department) property owners take advantage of to increase their tax deductions. If you don’t pay your separate service bills, the fee for water and sewer or other improvments is added to your overall property tax bill (along with the late fees). They then become as deductible as any other property tax.

Commisioner Cross states that it is valuable to have that service in front of his property. I think that value is taxed on his property taxes not his water and sewer bill!!! These public officials hit you for every nickel they can get and then they squander it.

Water and sewer bills have been rising in the City for years.
I remember when they started asking for sewer and now it 100% of usage. Actually water bills are not that bad in Albany but when you add all the other charges and the extremely high school and property taxes it become obscene. School and property taxes are higher in Albany than LONG ISLAND proportionately. Business are moving out and the economy is bad…. The bills will only get worst…P.S. good luck with City Hall!

What home owner does not pay for school taxes? Previous Joe from Coheos..Get a grip!
Does the other Joe have a cell phone bill, Take a good look at it, all cell phone bills include a fee to the school district.

As for the water bill to the city of Albany. I would agree with John, have the city come out and put a water line in, But i would take it just one step farther, put up a building with a toilet in it and put a coin slot on the door like they use to have on the Thruway years ago.